POST UTME ELIZADE UNIVERSITY 2018 Accounting | Objective

Are you preparing for POST UTME ELIZADE UNIVERSITY exams? Reviewing past questions is one of the most effective ways to guarantee a high score. This practice hub features authentic 2018 Accounting (Objective) questions designed to simulate the real exam environment.

Practice these randomly selected questions to test your readiness.

Question 1
A company's trading account shows a profit of ₦1,500,000. However, the company's profit and loss account shows a loss of ₦800,000. What is the reason for the discrepancy?
A. The company has a non-trading income.
B. The company has a non-trading expense.
Correct C. The company has a trading loss.
D. The company has a non-trading asset.

Correct Answer: C

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 2
A company uses a self-balancing ledger to record its transactions. The ledger shows the following balances: Cash ₦100,000, Accounts Payable ₦50,000, and Common Stock ₦200,000. What is the total equity of the company?
A. ₦250,000
Correct B. ₦300,000
C. ₦350,000
D. ₦400,000

Correct Answer: B

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 3
A company's balance sheet shows the following information: Assets ₦500,000, Liabilities ₦200,000, and Equity ₦300,000. What is the company's debt-to-equity ratio?
A. 1:1
Correct B. 2:1
C. 3:1
D. 4:1

Correct Answer: B

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 4
A company's manufacturing account shows a cost of goods sold of ₦1,200,000. However, the company's balance sheet shows a cost of goods sold of ₦1,500,000. What is the reason for the discrepancy?
A. The company has a non-manufacturing expense.
B. The company has a non-manufacturing income.
Correct C. The company has a manufacturing loss.
D. The company has a manufacturing asset.

Correct Answer: C

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 5
A company uses a double-entry system to record its transactions. The company's ledger shows the following entries: Debit Cash ₦100,000, Credit Accounts Payable ₦50,000, and Debit Common Stock ₦200,000. What is the total equity of the company?
A. ₦250,000
Correct B. ₦300,000
C. ₦350,000
D. ₦400,000

Correct Answer: B

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 6
A company issued 5,000, 10% debentures of ₦100 each at a discount of 5%. The debentures are redeemable after 5 years. Calculate the amount of discount on the debentures.
A. ₦250,000
Correct B. ₦500,000
C. ₦750,000
D. ₦1,000,000

Correct Answer: B

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 7
A partnership of three persons has a capital of ₦1,500,000. The profits are to be divided in the ratio of 3:5:7. If the profits for the year are ₦450,000, calculate the share of each partner.
A. ₦135,000
Correct B. ₦225,000
C. ₦315,000
D. ₦405,000

Correct Answer: B

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 8
A company has a cash balance of ₦500,000 and a bank overdraft of ₦200,000. The company also has a credit balance of ₦150,000 in a bank account. Prepare a cash flow statement for the company.
A. ₦750,000
Correct B. ₦850,000
C. ₦950,000
D. ₦1,050,000

Correct Answer: B

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 9
A company issued 10,000, 5% debentures of ₦100 each at a premium of 10%. The debentures are redeemable after 10 years. Calculate the amount of premium on the debentures.
A. ₦1,000,000
Correct B. ₦2,000,000
C. ₦3,000,000
D. ₦4,000,000

Correct Answer: B

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 10
A company has a capital of ₦2,000,000 and a reserve of ₦500,000. The company also has a profit of ₦750,000. Prepare a balance sheet for the company.
A. ₦3,250,000
B. ₦3,500,000
Correct C. ₦3,750,000
D. ₦4,000,000

Correct Answer: C

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 11
A company issued 5,000, 10% preference shares of ₦10 each at a premium of ₦2. Calculate the total amount received from the issue of these shares.
A. ₦50,000
B. ₦100,000
C. ₦150,000
Correct D. ₦200,000

Correct Answer: D

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 12
A manufacturing company uses a job costing system. The following information is available for Job No. 101: Direct Materials: ₦15,000; Direct Labour: ₦8,000; Overheads: ₦12,000. Calculate the total cost of Job No. 101.
A. ₦35,000
B. ₦40,000
C. ₦45,000
Correct D. ₦50,000

Correct Answer: D

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 13
A company's cash book shows the following transactions: | Date | Particulars | Debit | Credit | | --- | --- | --- | --- | | 1 Jan | Cash | ₦10,000 | | | 2 Jan | Bank | | ₦15,000 | | 3 Jan | Cash | | ₦8,000 | | 4 Jan | Bank | ₦12,000 | | | 5 Jan | Cash | | ₦9,000 | What is the balance of the cash account?
A. ₦1,000
B. ₦2,000
C. ₦3,000
Correct D. ₦4,000

Correct Answer: D

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 14
A company's trial balance shows the following balances: | Account | Debit | Credit | | --- | --- | --- | | Sales | ₦100,000 | | | Purchases | | ₦120,000 | | Wages | ₦20,000 | | | Rent | | ₦30,000 | What is the total amount of the company's assets?
A. ₦140,000
B. ₦150,000
C. ₦160,000
Correct D. ₦170,000

Correct Answer: D

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 15
A company's cash book shows the following transactions: | Date | Particulars | Debit | Credit | | --- | --- | --- | --- | | 1 Jan | Cash | ₦10,000 | | | 2 Jan | Bank | | ₦15,000 | | 3 Jan | Cash | | ₦8,000 | | 4 Jan | Bank | ₦12,000 | | | 5 Jan | Cash | | ₦9,000 | What is the balance of the bank account?
A. ₦1,000
B. ₦2,000
C. ₦3,000
Correct D. ₦4,000

Correct Answer: D

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 16
A company issued 10,000, 10% debentures of ₦100 each at a discount of 5%. Calculate the amount received from debenture holders.
A. ₦900,000
Correct B. ₦950,000
C. ₦990,000
D. ₦1,000,000

Correct Answer: B

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 17
A company's cash book shows the following transactions: | Date | Particulars | Debit | Credit | | --- | --- | --- | --- | | 1 | Cash | 1,000 | | | 2 | Bank | | 1,500 | | 3 | Cash | | 800 | | 4 | Bank | | 1,200 | | 5 | Cash | | 1,000 | What is the balance in the cash book?
A. ₦1,200
B. ₦2,200
Correct C. ₦3,200
D. ₦4,200

Correct Answer: C

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 18
A company's balance sheet shows the following: | Assets | ₦ | Liabilities | ₦ | Capital | ₦ | | --- | --- | --- | --- | --- | --- | | Cash | 1,000 | Debentures | 10,000 | | | | Bank | 5,000 | Loans | 8,000 | | | | Stock | 12,000 | | | | | | | | | | | | What is the amount of capital?
A. ₦18,000
B. ₦20,000
C. ₦22,000
Correct D. ₦24,000

Correct Answer: D

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 19
A company's cash book shows the following transactions: | Date | Particulars | Debit | Credit | | --- | --- | --- | --- | | 1 | Cash | 1,000 | | | 2 | Bank | | 1,500 | | 3 | Cash | | 800 | | 4 | Bank | | 1,200 | | 5 | Cash | | 1,000 | What is the balance in the bank account?
A. ₦1,200
B. ₦2,200
Correct C. ₦3,200
D. ₦4,200

Correct Answer: C

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 20
A company's balance sheet shows the following: | Assets | ₦ | Liabilities | ₦ | Capital | ₦ | | --- | --- | --- | --- | --- | --- | | Cash | 1,000 | Debentures | 10,000 | | | | Bank | 5,000 | Loans | 8,000 | | | | Stock | 12,000 | | | | | | | | | | | | What is the amount of stock?
A. ₦12,000
B. ₦15,000
Correct C. ₦18,000
D. ₦20,000

Correct Answer: C

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 21
A company's cash book shows the following transactions: | Date | Particulars | Debit | Credit | | --- | --- | --- | --- | | 1 | Cash | 1,000 | | | 2 | Bank | | 1,500 | | 3 | Cash | | 800 | | 4 | Bank | | 1,200 | | 5 | Cash | | 1,000 | What is the balance in the cash book?
A. ₦1,200
B. ₦2,200
Correct C. ₦3,200
D. ₦4,200

Correct Answer: C

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 22
A company's balance sheet shows the following: | Assets | ₦ | Liabilities | ₦ | Capital | ₦ | | --- | --- | --- | --- | --- | --- | | Cash | 1,000 | Debentures | 10,000 | | | | Bank | 5,000 | Loans | 8,000 | | | | Stock | 12,000 | | | | | | | | | | | | What is the amount of bank?
A. ₦5,000
Correct B. ₦10,000
C. ₦15,000
D. ₦20,000

Correct Answer: B

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 23
A company issued 5,000, 10% debentures of ₦100 each at a discount of 5%. The debentures are redeemable after 5 years. Calculate the amount of discount on the debentures.
A. ₦250,000
B. ₦500,000
Correct C. ₦750,000
D. ₦1,000,000

Correct Answer: C

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 24
A company's trading account for the year ended 31st December 2022 is as follows: Sales: ₦1,500,000; Purchases: ₦1,200,000; Carriage Inward: ₦50,000; Carriage Outward: ₦20,000. Calculate the gross profit for the year.
A. ₦250,000
Correct B. ₦300,000
C. ₦350,000
D. ₦400,000

Correct Answer: B

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 25
A company's balance sheet as at 31st December 2022 is as follows: Share Capital: ₦500,000; Reserves: ₦300,000; Debtors: ₦200,000; Creditors: ₦100,000. Calculate the net worth of the company.
Correct A. ₦700,000
B. ₦800,000
C. ₦900,000
D. ₦1,000,000

Correct Answer: A

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics

Master the Exam!

You've seen a preview, but there are thousands more questions plus AI tutor to break down complex solutions.

Unlock Full Access Available for Android & Windows
Help others prepare! Share this practice hub:
Chat with Support